ACCESS Newswire | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 5.618 M

Revenue: As of FY2026 Q2, the actual value is USD 5.618 M, beating the estimate of USD 5.513 M.

EPS: As of FY2026 Q2, the actual value is USD -0.12.

EBIT: As of FY2026 Q2, the actual value is USD -268 K.

Second Quarter 2026 Financial Highlights

Revenue

Total revenue for Q2 2026 was $5.6 million, representing an increase of 5% compared to $5.3 million in Q1 2026, and was consistent with $5.621 million in Q2 2025. The increase from the prior quarter was primarily due to a 10% increase in volume from the core press release business due to seasonal factors. Core press release revenue for Q2 2026 increased by 2% compared to Q2 2025, although this was offset by lower revenue from the webcasting business and ProPlan product.

Gross Margin

Gross margin for Q2 2026 was $4.1 million, or 73% of revenue, compared to $4.3 million, or 76% of revenue, in Q2 2025. The decrease was mainly due to increased press release distribution costs from new partners, increased prices from current partners, and additional usage under variable contracts.

Operating Profit/Loss

Operating loss for Q2 2026 was - $0.3 million, an increase compared to - $0.2 million in Q2 2025. Total operating expenses slightly decreased to $4.4 million from $4.5 million, as savings in general and administrative and product development expenses were partially offset by additional marketing investments. General and administrative expenses were $1.350 million in Q2 2026, down from $1.752 million in Q2 2025. Sales and marketing expenses increased to $1.889 million in Q2 2026 from $1.462 million in Q2 2025. Product development expenses decreased to $0.533 million in Q2 2026 from $0.655 million in Q2 2025.

Net Income/Loss

Net loss from continuing operations (GAAP) was - $0.4 million, or - $0.09 per diluted share, for Q2 2026, compared to - $0.2 million, or - $0.06 per diluted share, in Q2 2025. Non-GAAP net income for Q2 2026 was $0.3 million, or $0.08 per diluted share, compared to $0.6 million, or $0.14 per diluted share, during Q2 2025.

EBITDA and Adjusted EBITDA

EBITDA was $0.5 million, or 8% of revenue, for Q2 2026, consistent with $0.5 million, or 9% of revenue, for Q2 2025. Adjusted EBITDA was $0.6 million, or 11% of revenue, for Q2 2026, compared to $0.8 million, or 15% of revenue, for Q2 2025.

Cash Flow

Cash flow from operations was $173,000 in Q2 2026, compared to $135,000 in Q2 2025. Adjusted free cash flow was $50,000 for Q2 2026, compared to $250,000 in Q2 2025. Free cash flow from continuing operations (Non-GAAP) was $50,000 in Q2 2026, compared to $135,000 in Q2 2025.

First Half 2026 Financial Highlights

Revenue

Total revenue for the first half of 2026 was $10.9 million, a decrease of 1% compared to $11.1 million during the first half of 2025. This decrease was primarily due to lower revenue from webcasting products and ProPlan products. Revenue from the core press release business increased by 1% during the first half of 2026 compared to the same period of the prior year.

Gross Margin

Gross margin for the first half of 2026 was $8.1 million, or 74% of revenue, compared to $8.6 million, or 77% of revenue, during the first half of 2025. The decrease was primarily due to an increase in press release distribution costs.

Operating Profit/Loss

Operating loss was - $1.0 million for the first half of 2026, compared to - $0.9 million during the first half of 2025. This increase was primarily due to the decrease in gross margin, partially offset by a $0.4 million decrease in operating expenses.

Net Income/Loss

Net loss from continuing operations (GAAP) was - $1.0 million, or - $0.25 per diluted share, for the first half of 2026, consistent with - $1.0 million, or - $0.26 per share, for the first half of 2025. Non-GAAP net income for the first half of 2026 was $0.7 million, or $0.18 per diluted share, compared to $0.8 million, or $0.20 per diluted share, for the first half of 2025.

EBITDA and Adjusted EBITDA

EBITDA was consistent at $0.5 million, or 4% of revenue, for both the first half of 2026 and 2025. Adjusted EBITDA was $1.2 million, or 11% of revenue, for the first half of 2026, compared to $1.4 million, or 13% of revenue, for the first half of 2025.

Cash Flow

Net cash provided by operating activities (GAAP) for the first half of 2026 was $1.044 million, compared to $0.882 million in the first half of 2025. Adjusted free cash flow was $1.0 million for the first half of 2026, compared to $1.2 million during the first half of 2025. Free cash flow from continuing operations (Non-GAAP) was $0.813 million in the first half of 2026, compared to $0.847 million in the first half of 2025.

Operational Metrics

At the end of Q2 2026, the average Annual Recurring Revenue (ARR) for subscriptions per customer increased to $12,718, up from $11,039 at the end of Q2 2025. As of June 30, 2026, ACCESS Newswire Inc. had 14,583 customers with an active contract during the past twelve months. Subscription customers increased to 1,162 during the quarter, including 115 subscribers from their EDU platform.

Outlook / Guidance

ACCESS Newswire Inc. is laying the groundwork for long-term growth and is encouraged by the momentum from new products like the Social Monitoring platform and Insight & Analytics Report. The company plans to release several more product enhancements before year-end, focusing on product innovation to drive customer and revenue growth in its subscription business. Management believes the industry is positioned for renewed growth and intends to strengthen its competitive position by delivering a comprehensive Investor Relations and Public Relations platform.